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I just need help on 5-8 Strider Outfitters declared and paid a cash dividend of $7,300 in the current year. Its comparative financial statements, prepared
I just need help on 5-8
Strider Outfitters declared and paid a cash dividend of $7,300 in the current year. Its comparative financial statements, prepared at December 31, reported the following summarized information: 1. Compute the gross profit percentage in the current and previous years. Are the current-year results better, or worse, than those for the previous year? 2. Compute the net profit margin for the current and previous years. Are the current-year results better, or worse, than those for the previous year? 3. Compute the earnings per share for the current and previous years. Are the current-year results better, or worse, than those for the previous year? 4. Stockholders' equity totaled $107,000 at the beginning of the previous year. Compute the return on equity (ROE) ratios for the current and previous years. Are the current-year results better, or worse, than those for the previous year? 5. Net property and equipment totaled $117,000 at the beginning of the previous year. Compute the fixed asset turnover ratios for the current and previous years. Are the current-year results better, or worse, than those for the previous year? 6. Compute the debt-to-assets ratios for the current and previous years. Is debt providing financing for a larger or smaller proportion of the company's asset growth? 7. Compute the times interest earned ratios for the current and previous years. Are the current-year results better, or worse, than those for the previous year? 8. After Strider Outfitters released its current year's financial statements, the company's stock was trading at \$25. After the release of its previous year's financial statements, the company's stock price was $22 per share. Compute the P/E ratios for both years. Does it appear that investors have become more (or less) optimistic about Strider's future success Step by Step Solution
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